Research approach and strategy

look into get down and outlineChapter 3 Research Methodology3.1. IntroductionThe purpose of this chapter is to present the search philosophy, approach and strategy that argon used in this be after. The excerpt of inquiry design and entropy line of battle methods is justified by indicating their advantages and limitations compared with other available methods.3.2. Research philosophyThis subscribe reflects the principles of the positivist philosophy. This paradigm is concerned with testing theories and providing material for the outgrowth of laws (Bryman and Bell, 2003, p.14). It assumes that reality is objectively habituated and can be described by measurable properties, which are independent of the observer and his or her instruments (Myers, 2009, p.37). The positivist question philosophy involves highly structured methodology to facilitate replication (Gill and Johnson, 1997, cited in Saunders et al., 2003, p.83). Therefore, reliability is likely to be high (Collis a nd Hussey, 2003). One limitation of the electropositive paradigm is that validity is low when measures do non reflect the phenomenon that is be investigated (Collins and Hussey, 2003).3.3. Research approach and strategyThere are two methods of information collection and synopsis that are available to researchers, qualitative (inducive) and quantitative (deductive). In order to strive its aims and objectives, this playing area employs a deductive approach, which involves the testing of assumption deduced from theory (Bryman and Bell, 2003). The rationale for this choice is that the quantitative approach is appropriate when ingathering info related to the frequency of occurrence of a variable (determinants of FDI in Bulgaria) and provides the researcher with the opportunity to explain casual relationships between variables (Saunders et al., 2003, p.86).However, by adopting an inductive approach the researcher is able to gain more in-depth understanding of the research contex t and allows a more flexible structure of the research (Saunders et al., 2003). On the other hand, qualitative research makes it difficult to generalise results to a big population (Myers, 2009) and findings are often subjective since they rely on the mind and interpretation of the researcher (Collis and Hussey, 2003).3.4. Research designIn order to achieve its aims and objectives, this say will employ a cross- partitioningal design. This framework requires interrogative sentence of more than one cases and collection of selective information on the variables of interest at a single point in time (Bryman and Bell, 2003). The present interpret will use it to ca-ca variation in respect of the unlike determinants of FDI, suggested in the Dunnings eclectic theory, by obtaining info from major investors in Bulgaria. The choice of this research design is backed up by the assumption that the investigated variables could non be manipulated by the business research in contrast to ob servational design (Bryman and Bell, 2003).* Reliability The probability that research findings would be the same if the study is repeated using cross-sectional design is high, given the same conditions and short explanation of the procedures involved (Bryman and Bell, 2003).* Validity Internal validity of cross-sectional research design is likely to be weak since it is difficult to establish causative direction from the resulting data (Bryman and Bell, 2003), whereas external validity is usually strong if the smack under investigation is appropriately selected (Lee and Lings, 2008).3.5. Data collection methodsThis study involves the collection of both primary and indirect data.3.5.1. Secondary dataSecondary data involves both raw and published data collected for other purposes (Saunders et al., 2003). The project made use of online academic databases to obtain relevant academic journals and articles within the area of international business and FDI in emerging economies. Quali tative data was sourced out from books, as well. It was used to establish the basis for the literature review.altogether secondary data, which involves the most recently available statistical information rough the FDI inflow in Bulgaria during the last 11 years, is obtained from the Bulgarian National Bank. This large-minded of data gives a researcher the opportunity to analyse it for the purposes of a longitudinal study, aiming to chart trends over time and perhaps to relate these to wider social changes (Bryman and Bell, 2003).Although secondary analysis provides a number of benefits, including time and cost saving and access to high quality data, there are some considerable limitations much(prenominal) as subjectivity hence, disputable reliability (Bryman and Bell, 2003).3.5.2. essential dataThe questionnairePrimary data is collected by self-administered online questionnaires. A number of similar studies, looking for for causality, have pick out this method which is easy a nd less time-consuming to exonerate (Collis and Hussey, 2003). However, it lacks flexibility one of the advantages of semi-structured and unstructured interviews (Bryman and Bell, 2003). The problems of missing data and low repartee rate that are associated with the self-completion questionnaire are other limitations of the method (Saunders et al., 2003). The physical standoffishness and the limited time prevented the employment of interviewer-administered questionnaire.The questionnaire includes three sections of both closed and open-ended questions (see Appendices). The questions are pre-coded, in order to ease the analysis of answers. The first section involves questions around the MNC characteristics (industry, home country, year and size of investment). The second section includes questions about the motives of MNCs to enter the market in Bulgaria. This section is based on the Dunnings location-advantages theory. The closing section of the questionnaire considers the impe diments to investment in Bulgaria.The sampleThe sample is randomly selected from an positive document of the Bulgarian Foreign Investment Agency (BFIA) en appointing the major foreign investors in Bulgaria. This study assumes the 100 companies included in this list as the population under consideration. The size of the sample is 30 MNCs which is comparatively representative.A total of 30 MNCs were approached to take part in the mess via e-mails. Then, a link to the online questionnaire was sent to all participants, accompanied by a cover letter (see Appendices). The low response rate (7%) necessitated the follow-up emails to organisations that had not responded. Eventually, 25 companies completed the survey (83%).The sample is representative for three of the industrial sectors that receive FDI, i.e. manufacturing, electricity, gas and water supply and IT sector.3.6. Data analysis methodsSince positive(p) philosophy is usually associated with quantitative research methods and stat istical analysis (Saunders et al., 2003), this study obtained primary data and analysed it using quantitative research strategy. This approach is adopted by most business researches and involves the collection and analysis of numerical data (Bryman and Bell, 2003).In order to establish relations and to analyse an economic phenomenon (Barrow, 2001), this study applies statistical methods when analysing the data obtained from the survey. Initially, the project adopts exploratory data analysis approach or descriptive statistics. This approach is normally associated with the use of tables and diagrams to summarise and present quantitative data (Collis and Hussey, 2003). The rationale for adopting this strategy is that it provides an appropriate instrument to establish a trend and to examine the dynamics and determinants of investment inflow in Bulgaria for the period between 1998 and 2009, which is the objective of this project.3.7. Ethical issuesDiener and Crandall (1978, cited in Brym an and Bell, 2003) identify quartette principles, with regard to ethics in business research whether there is suffering to participants, a lack of informed content, an invasion of privacy, and whether deception is involved.This study is passage to address each of the indicated areas. First, confidentiality and anonymity of participants would be maintained. Second, all participants would be given detailed information for the purpose of this research and their involvement in the study. Third, individual(prenominal) data would be protected by the relevant data certificate legislation. Finally, all participants would be given the right to withdraw from answering whatsoever question that they might consider as potentially deceptive or harming their dignity.3.8. ConclusionThe purpose of this chapter was to outline the research methodology that is adopted in order to achieve the aims and objectives of this project. The selected research approach, strategy and data collection methods a re critically reviewed and compared with alternatives. Finally, sample features are discussed and ethical issues are considered. The following chapter deals with the analysis of the collected data.